Allianz Group has used its digital investment unit Allianz X to take part in a C$100m investment in online investing service and trading app provider Wealthsimple.
Canada-based Power Financial Corporation also took part in the funding, which Wealthsimple said it would to deepen its customer relationships by developing its existing services and new product offerings, as well as evolving its B2B platform for advisors and institutions.
Existing Allianz X fintech investments include US insurtech company Lemonade and micro-insurer BIMA.
Allianz X CEO Nazim Cetin said, “As a digitally-enabled financial services provider with a strong customer focus, Wealthsimple can complement Allianz’s business in a number of areas.
“This investment underlines our commitment to truly digital companies and is an excellent addition to our portfolio.”
Wealthsimple, which launched in 2014, says it aims to make investing more simple and accessible through low fees and easy-to-use digital tools, including its managed portfolio service, Wealthsimple Invest, and its zero-commission trading app Wealthsimple Trade.
Company chairman Paul Desmarais said, “Bringing Allianz into this investment round is a landmark transaction in Canadian fintech.
“The partnership between Wealthsimple, Portag3 Ventures and the Power group since the founding of the company in 2014 is unique.
“We believe the coming together of large incumbent companies that understand how to build global asset managers with innovative, digital-first companies is the future of financial services.”
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